Net Revenue Retention (NRR) Calculator
Calculate Net Revenue Retention — the gold standard SaaS growth metric.
Enter starting MRR, expansion, contraction, and churn to find your NRR percentage.
Net Revenue Retention (NRR)
NRR measures how much recurring revenue you retain and grow from your existing customer base — without counting any new customers. It is considered the single most important metric for SaaS companies because it shows whether your product is growing or shrinking within its current install base.
Formula:
NRR = (Starting MRR + Expansion − Contraction − Churned MRR) / Starting MRR × 100%
| Component | Meaning |
|---|---|
| Starting MRR | Monthly Recurring Revenue at start of period |
| Expansion MRR | Additional revenue from upgrades and upsells |
| Contraction MRR | Lost revenue from downgrades |
| Churned MRR | Revenue lost from cancellations |
Benchmarks:
| NRR | Interpretation |
|---|---|
| Below 80% | Dangerous — losing revenue fast from existing customers |
| 80% – 95% | Struggling — churn is outpacing expansion |
| 95% – 100% | Stable — just keeping up with churn |
| 100% – 110% | Good — modest net growth from existing customers |
| 110% – 130% | Excellent — existing customers drive significant growth |
| 130%+ | World-class — existing base alone compounds the business |
NRR vs GRR (Gross Revenue Retention):
GRR only counts contraction and churn — it ignores expansion. GRR is capped at 100%. NRR includes expansion, so it can exceed 100%.
| Metric | Formula | Cap |
|---|---|---|
| GRR | (MRR_start - Contraction - Churn) / MRR_start | 100% |
| NRR | (MRR_start + Expansion - Contraction - Churn) / MRR_start | No cap |
Why NRR above 100% is so powerful:
If NRR = 120%, your existing customers alone grow your revenue by 20% per year — before you add a single new customer. This creates a compounding engine where growth accelerates even if new sales slow.
Top SaaS companies like Snowflake, Datadog, and Twilio have historically maintained NRR above 130%.